This publication provides an overview of the South Australian economy. The overview will be updated on a quarterly basis (in March, June, September and December) and in the intervening months the publication will include feature articles that provide a South Australian focus on economic, social and environmental issues.

The data presented in this publication are an overview of a number of different economic statistics, Explanatory Notes are not included in SA Stats in the form found in other ABS publications. Readers are directed to the Explanatory Notes contained in related ABS publications.

If you have any comments about this product please contact Lina Hughes on ph: (08) 8237 7383 or alternatively email lina.hughes@abs.gov.au.

CONSUMPTION

Household Final Consumption

Household final consumption expenditure increased by 0.4% ($40m) to $9,467m in the March quarter 2006 (in seasonally adjusted chain volume terms). In terms of percentage change, the components that recorded the largest increases were Operation of vehicles, up 2.1% ($11m); Clothing and footwear, up 1.7% ($6m); and Other goods and services, up 1.7% ($10m). The Transport services component experienced the largest percentage decrease, down 2.8% ($6m); followed by Cigarettes and tobacco, down 2.1% ($4m). Comparing March quarter 2006 with March quarter 2005, total household final consumption expenditure in South Australia increased by 1.8% ($171m).

Of the seven retail industry groups, Hospitality and service industries, and Clothing and soft good retailing recorded the largest percentage increases in retail turnover over the three months to April 2006 (3.5% and 3.0% respectively), while Household good retailing was the only industry group to record a decrease, down 0.5%.

RETAIL TURNOVER BY INDUSTRY GROUP,percentage change over last three months, April 2006, South Australia

From March 2006 to April 2006, the trend estimate for sales of new motor vehicles decreased by 0.3% to 5,147 vehicles. The April 2006 trend estimate was 5.1% (274 vehicles) lower than that estimated for April 2005, with passenger vehicles down 4.1% (145 vehicles), sports utility vehicle sales down 7.0% (64 vehicles) and other vehicle sales down 6.4% (65 vehicles).

In the March quarter 2006, private new capital expenditure increased by 2.1% to $1,165m (in chain volume terms). Expenditure on equipment, plant and machinery increased by 1.3% to $857m while expenditure on buildings and structures increased by 4.1% to $306m. Comparing March quarter 2006 with March quarter 2005, expenditure on equipment, plant and machinery grew by 6.7%; expenditure on buildings and structures grew by 31.9%; and total private new capital expenditure grew by 12.6%.

The total value of building approvals increased by 3.9% to $778.7m in the March quarter 2006 (in chain volume terms). Residential building approvals increased by 16.6% to $536.8m and non-residential building approvals decreased by 16.2% to $241.9m. Comparing March quarter 2006 with March quarter 2005, the value of approvals for total residential building increased by 23.1% ($100.8m) compared with a 33.4% ($121.2m) decrease in the value of non-residential building approvals.

The components of residential building approvals are shown in the following graph. The value of new housing approvals decreased by 7.9% to $289.8m in the March quarter 2006 and the value of approvals for new other residential building increased by 60.5% to $120.4m. The value of approvals for alterations and additions (including refurbishment) increased by 78.4% to $126.5m.

VALUE OF RESIDENTIAL BUILDING APPROVALS,original, chain volume measures, South Australia

The estimated resident population for South Australia was 1,546,300 at 31 December 2005, an increase of 9,900 persons (0.6%) since 31 December 2004. During the Year 2005, South Australia recorded 17,800 births and 12,000 deaths. The net overseas migration into South Australia was 7,800, whereas the net interstate migration resulted in a loss of 3,600 people.

Between April 2006 and May 2006, the total number of employed persons (in seasonally adjusted terms) increased by 0.1% to 744,400. Male employment increased to 406,600, whereas female employment decreased to 337,800. From May 2005 to May 2006 the total number of employed persons increased by 0.5%; male employment remained steady while female employment increased by 1.1%.

From April 2006 to May 2006 the overall unemployment rate decreased from 5.4% to 5.2%. For males, the unemployment rate decreased from 5.8% to 5.4%, and for females, the unemployment rate decreased from 5.0% to 4.9%.

From May 2005 to May 2006, the overall unemployment rate increased from 4.9% to 5.2%. For males, the unemployment rate increased from 5.0% to 5.4%, whereas for females, the unemployment rate remained steady at 4.9%.

From November 2005 to February 2006, the average weekly earnings for full-time adults (ordinary time earnings) increased by 1.9% to $975.10 per week. Female earnings increased by 1.8% to $909.30 and male earnings also increased by 1.8% to $1,009.60.

The all groups consumer price index (CPI) for Adelaide increased by 1.0% in the March quarter 2006. The all groups CPI for Adelaide was 3.1% higher than that recorded in the March quarter 2005; in comparison, the weighted average of eight capital cities had an increase of 3.0%.

In the March quarter 2006, the categories with the largest percentage increases contributing to the CPI movement for Adelaide were Education (5.8%) and Health (3.4%). The categories with a percentage decrease were Clothing & footwear (1.3%) and Financial & Insurance Services (0.2%).

From March 2006 to April 2006, the value of merchandise exports increased by 1.6% to $782.8m (in original terms). The value of merchandise imports decreased by 6.1% to $465.2m. Comparing April 2006 with April 2005, the value of exports increased by 23.2% and the value of imports decreased 2.5%.

VALUE OF MERCHANDISE EXPORTS AND IMPORTS, original data, South Australia

Comparing April 2006 with April 2005, the largest positive movements, in terms of the percentage change in the value of exports, were recorded for Road vehicles, parts & accessories (up 276.0%); Wheat (up 82.3%); and Metals & metal manufactures (up 62.1%). Petrol exports decreased by 100.0%.

PERCENTAGE CHANGE IN VALUE OF SELECTED EXPORT CATEGORIES,original data, April 2006 compared with April 2005, South Australia

Comparing April 2006 with April 2005, the largest positive movements, in terms of the percentage change in the value of imports, were recorded for Petroleum & petroleum products (up 54.4%); and Textiles (up 22.2%). The category with the largest negative movement was recorded for Chemicals (down 62.8%).

PERCENTAGE CHANGE IN VALUE OF SELECTED IMPORT CATEGORIES,original data, April 2006 compared with April 2005, South Australia